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AS 10
Accountancy
In the attached page of text book, two techniques of revaluation are given..... May I know the video in which you taught about the attached page....? Please reply as soon as possible..... I am in terrible confused state
Answers (3)
Abhishek Purohit
6th video
Sir, I think that you meant 7:20 to 9:06 of this video..... Right?? But in this portion of video, those techniques are not explained clearly.... (How to do those techniques)..... Does any other videos clearly talk about that techniques?
Technique one Asset is stated a gross value and depreciation derived as an adjustment to revalued amount and carrying amount of asset Text book example Asset carrying amount -1000 Asset gross value 2500 Revalued amount =1500 Revised depreciation = 1000(2500-1500) Technique 2 Depreciation is eliminated and asset is shown at revalued amount Example Carrying amount -1000 Accumulated depreciation- 400 Revalued amount 1500 So first depreciation will be eliminated by deducting the value of asset Provision for depreciation a/c Dr 400 To asset a/c 400 Then the asset would carried at revalued amount by creding to revaluation surplus Asset a/c Dr 900 To revaluation surplus 900